Microsoft will be aligning their pricing of Microsoft Cloud products globally, resulting in price adjustments for customers in Norway, United Kingdom, and the European Union, depending on their local currency. For instance, customers using Swedish Krona (SEK) will see a 15% increase in prices, while those using Norwegian Krone (NOK), Danish Krone (DKK), Euro (EUR), and British Pound (GBP) will see increases ranging from 9% to 11%.
To mitigate the impact of this price increase, you should consider the following:
- Check if you have licenses assigned to inactive users who are no longer with the company.
- Ensure that all your licenses are assigned to active users, and not sitting idle in stock.
- Avoid assigning licenses to users or resources not needing them.
- Renew your subscriptions before April 1st to postpone the effect of the price increase. Contact your sales rep at Microsoft or your Microsoft Partner to learn if this is something your org can do.
If you need help understanding more about the upcoming price increase and how to gain better control over your licenses, feel free to schedule a meeting.
What Commercial Licensing Programs will be Affected?
In short, any cloud license program transacted in the local currencies above will be affected.
If your organization subscribes to Microsoft 365, Microsoft Dynamics 365 or other Microsoft cloud products, you will be impacted.
Offers sold in USD, like Azure consumption through MCA (Microsoft Customer Agreement) is not affected.
To understand the impact on your organization, you should contact your sales rep at Microsoft, or the Microsoft Partner transacting your licenses.
How does purchasing of Microsoft licenses work?
Companies buy Microsoft licenses, like Microsoft 365, in different ways. Some have Enterprise Agreements, others buy through a Partner CSP (Cloud Solution Provider), and some buy direct via the web. Read more about the different ways to buy here.
When you buy a new (or renew an existing) subscription, you will have price protection for the term you commit to. This means that if you buy new, or renew existing subscriptions before April 1, 2023, you will lock the price for the duration of the subscriptions. The length of the subscriptions can be 1 Month, 1 Year, and in some cases even 3 Years.
